Shifting Dynamics in America’s “Backyard”: Latin America’s Strategic Pivot Towards China

China-Latin America

For much of its history, the United States has viewed Latin America as its “backyard”—a region firmly within its sphere of influence. This notion, deeply rooted in the political and historical narrative of the Americas, has shaped US foreign policy for nearly two centuries. However, in today’s multipolar world, this characterization seems increasingly outdated and laden with hegemonic undertones. As global powers like China deepen their ties with Latin American countries, the traditional dynamics of the region are undergoing a significant transformation, challenging the long-held dominance of the United States.

The concept of Latin America as the US’s “backyard” can be traced back to the Monroe Doctrine of 1823. President James Monroe’s declaration was a clear message to European powers: the Americas were off-limits to further colonization, and any attempt to exert influence in the Western Hemisphere would be seen as a threat to US security. This doctrine effectively positioned the United States as the dominant power in the region, setting the stage for future interventions under the guise of protecting the Americas from foreign influence.

In the early 20th century, President Theodore Roosevelt expanded on the Monroe Doctrine with his “Big Stick Policy,” which emphasized the United States’ right to intervene in Latin American affairs to maintain stability and order. This policy justified numerous military interventions and occupations in countries like Cuba, Nicaragua, and Haiti, reinforcing the perception of Latin America as an extension of US strategic interests.

The Cold War further solidified this view. The United States, intent on preventing the spread of communism in its hemisphere, saw Latin America as a crucial battleground in its ideological conflict with the Soviet Union. The term “backyard” became more than just a geographical reference; it symbolized America’s determination to control the political and economic landscape of the region. From covert operations like the CIA-backed coups in Guatemala (1954) and Chile (1973) to the support of authoritarian regimes across the continent, the US sought to maintain a firm grip on its “backyard.”

Changing Landscape: China’s Growing Influence in Latin America

In recent years, however, the notion of Latin America as America’s exclusive sphere of influence has been increasingly challenged by the rising presence of China in the region. Latin American countries, seeking to diversify their economic and diplomatic relationships, have found in China a valuable partner willing to invest in their development and infrastructure.

One of the most striking examples of this shift is Brazil, the largest and most influential country in South America. Under President Luiz Inácio Lula da Silva, Brazil has expressed a clear intention to strengthen its ties with China. Lula’s government is reportedly formulating a proposal to join China’s Belt and Road Initiative (BRI), a massive infrastructure and investment project that spans Asia, Europe, and now increasingly, Latin America. Should Brazil officially join the BRI, it would mark a significant milestone in Sino-Latin American relations, potentially altering the balance of power in the region.

China’s appeal to Latin American countries like Brazil is multifaceted. Economically, the China-Latin America relationship is characterized by a strong complementarity. Latin America, rich in natural resources such as iron ore, oil, and soybeans, provides the raw materials that fuel China’s industrial growth. In return, China offers investment in infrastructure, manufacturing, and technology—sectors critical for Latin America’s long-term development.

Over the past decade, Chinese companies have significantly increased their presence in Latin America, investing in a wide range of projects, from energy and telecommunications to transportation and logistics. In Brazil, for instance, Chinese investments in sectors like renewable energy and telecommunications have not only boosted local economies but also contributed to the country’s efforts to modernize its infrastructure. This deepening economic relationship has prompted concerns in some quarters about Brazil’s growing dependence on China. However, these concerns are often outweighed by the tangible benefits that Chinese investments bring to the region.

US Reactions: Reviving “Backyard” Strategy?

The United States has not been oblivious to China’s growing influence in Latin America. In fact, recent developments suggest that Washington is becoming increasingly concerned about losing its grip on the region. General Laura Richardson, head of the US Southern Command, recently proposed a “Marshall Plan” for Latin America, echoing the massive US-led reconstruction effort in Europe after World War II. The idea behind such a plan would be to counter China’s influence by providing substantial economic and military aid to Latin American countries.

Additionally, Secretary of State Antony Blinken has launched the Western Hemisphere Semiconductor Initiative, aimed at strengthening economic ties with countries in the Americas and reducing dependence on China for critical technologies. Treasury Secretary Janet Yellen’s recent visit to Brazil during the G20 Finance Ministers and Central Bank Governors meeting also highlights the US’s renewed interest in the region. US media outlets have interpreted these moves as part of a broader strategy to counterbalance China’s growing presence in what has traditionally been seen as America’s “backyard.”

However, the effectiveness of these efforts remains in question. Latin America, which has long been subjected to the ebb and flow of US strategic interests, may view these initiatives with skepticism. The region’s experience with the US’s “Washington Consensus” policies in the 1990s—marked by neoliberal reforms that often led to economic instability and social unrest—has left a lasting impression. Many Latin American countries are wary of once again aligning themselves too closely with Washington, especially if the proposed initiatives are perceived as more about countering China than genuinely fostering regional development.

China’s Approach: A Win-Win Cooperation

In contrast to the US’s often unilateral and interventionist approach, China has positioned itself as a partner that respects the sovereignty and development goals of Latin American countries. China’s strategy in the region is largely based on principles of mutual benefit and non-interference in domestic affairs. This approach resonates with many Latin American leaders who are eager to pursue independent foreign policies and diversify their international partnerships.

Brazil’s potential participation in the Belt and Road Initiative exemplifies this new dynamic. The BRI offers Latin American countries access to much-needed infrastructure investment without the stringent political conditions often attached to Western aid. For Brazil, joining the BRI could open up new opportunities for economic growth and integration into global supply chains. Moreover, China’s investments in Brazilian manufacturing and high-tech industries are seen as crucial for the country’s economic transformation, moving it beyond its traditional role as a supplier of raw materials.

This pragmatic and cooperative approach has made China an attractive partner for many Latin American countries. While the US remains a key economic and trade partner for the region, China’s willingness to engage in long-term, strategic partnerships that align with local development goals is reshaping the geopolitical landscape of the Americas.

The growing ties between Latin America and China are part of a broader global trend towards multipolarity. As the unipolar world order dominated by the United States in the post-Cold War era gives way to a more complex and multipolar system, countries around the world are seeking to diversify their alliances and reduce their dependence on any single power.

For Latin America, this shift offers an opportunity to carve out a more independent and balanced foreign policy. By strengthening ties with both China and the United States, Latin American countries can leverage their strategic position to gain more autonomy and influence on the global stage. This does not necessarily mean choosing sides in a new Cold War-style rivalry, but rather navigating the complexities of a world where multiple powers coexist and compete.

However, this emerging multipolarity also presents challenges. Latin American countries must carefully manage their relationships with both the US and China to avoid becoming pawns in a larger geopolitical struggle. The pressure to align with one side or the other could lead to increased political and economic tensions within the region, particularly if the US continues to view Latin America through the lens of Cold War-era strategic competition.

China-Latin America.
China-Latin America.

Washington’s Dilemma: Hegemony or Partnership?

The United States now faces a critical dilemma: whether to continue asserting its traditional hegemony in Latin America or to adapt to the new realities of a multipolar world by embracing genuine partnership with the region. The former approach, rooted in the outdated notion of the “backyard,” risks alienating Latin American countries that are increasingly seeking to assert their independence. The latter approach, however, would require a fundamental shift in US foreign policy, moving away from a zero-sum mindset and towards a more cooperative and inclusive strategy.

General Laura Richardson’s suggestion of a “Marshall Plan” for Latin America, while ambitious, raises questions about the US’s true intentions. Is Washington genuinely interested in fostering regional development, or is this merely an attempt to reassert control over a region that is slipping from its grasp? Similarly, initiatives like the Western Hemisphere Semiconductor Initiative may be seen as efforts to counter China’s influence rather than as part of a broader strategy to promote shared prosperity.

For Latin America, the answer to this question will likely determine the region’s future trajectory. If the US is willing to engage with Latin American countries on equal terms, respecting their sovereignty and development goals, it could still play a significant role in the region’s growth. However, if Washington continues to view Latin America as its “backyard,” seeking to dominate rather than cooperate, it risks losing influence to other global powers like China.

End of “Backyard” Era?

The term “backyard” may evoke a sense of nostalgia among some US policymakers, but in today’s world, it increasingly sounds like a relic of a bygone era. Latin America is no longer a passive player in the global geopolitical landscape. As countries like Brazil seek to balance their relationships with both China and the United States, the region is asserting its agency and pursuing a more independent path.

The United States must recognize and adapt to this new reality. The era of unchallenged American dominance in Latin America is over, and the future of the region will be shaped by a complex interplay of global forces. Whether Washington can adjust its strategy to reflect this multipolar world will determine whether it remains a relevant and influential player in Latin America or whether it will be left behind as the region charts a new course.

The future of US-Latin American relations may depend on Washington’s ability to move beyond the outdated “backyard” mentality and embrace a new vision of partnership and cooperation in the Americas.

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